An investor is suing Sen. Richard Burr for securities fraud connected to stock sales he made after private coronavirus briefings, court papers show.
Wyndham Hotels shareholder Alan Jacobson filed the lawsuit Monday in Washington, DC, federal court, alleging that the North Carolina Republican “acted as a scofflaw in a time of national crisis” by exploiting inside information to dump up to $1.7 million in stocks before the pandemic caused global markets to collapse.
The complaint focuses on Burr and his wife’s sale of as much as $150,000 worth of stock in Wyndham, the international hotel chain that has taken a beating from the coronavirus pandemic.
The company’s stock price closed at $59.10 on Feb. 13, the day Burr dumped the shares as he reportedly received briefings on the coronavirus threat. Wyndham shares have since plunged more than 50 percent to finish at $28.83 on Tuesday as the virus depressed demand for travel.
Chief Investment Strategist and Senior Vice President, Fifth Third Bank, Jeff Korzenik, discusses the economic pieces of the public health puzzle with Dan & Amy: